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No Objection to Declassification in Part 2013/05/09 NLN-TELCONS-3-7-26-4
-5-
Dx
K: Isn't that next year?
P: The pay increase does not come on. We are slipping the whole thing
to the last half of FY 71 SO it doesn't come into effect until January and it is
$800 million. What I am getting at is this -- and it may be what we
are going to have to do -- we have to get the budget down to $200 billion,
$500 million. Where would that get the three?
K: They would get the three by cutting each of the services we are taking
about 100 out of R&D which is not good to do, but we can live with it.
Then we are taking some out of Safeguard by stretching it a bit.
P: Stretching it a bit does not bother me too much.
K: But it is good to remain
.
P: And the main thing the authorization has got to be for the whole thing.
K: We are taking $50 million from each of the services book by knocking
out $10 million here and there.
P: We don't think you can get more than $300? Why don't you talk to Laird
on the basis on the other 200 just basically the fact of trying to absorb
the pay increase to that extent. First see also the possibility that Congress
may come up with the damn thing and go over it anyway. But if Congress
doesn't that is fine. But, well anyway you are Xx at three now, you think
you can get three, but the five is very difficult.
K: The five is almost impossible without cutting forces even more and they
are really
P: Nothing you could stretch - - nothing that well we are taking a look
at the thing but just continue to work on it, Henry. I am chopping that
damn Space program by another 300. I don't think there is any problem
there. You can turn that around you see.
K: But the trouble is you could easily find yourself in a situation two to
three years from now K where you just don't have the forces for an emergency.
If there is anything unexpected next year we are in trouble as it is.
P: I talked to Ehrlichman. He says you have got to have forces. I have
no desire at all to cut -- I don't think we should have cut what we have cut.
Frankly, we are in this kind of business where if you don't cut defense
some you could not get to these other departments.
Reproduced at the Richard Nixon Presidential Library
DECLASSIFIED
NThis EXecutiveorden3526 and has been
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"ocrText": "No Objection to Declassification in Part 2013/05/09 NLN-TELCONS-3-7-26-4\n-5-\nDx\nK: Isn't that next year?\nP: The pay increase does not come on. We are slipping the whole thing\nto the last half of FY 71 SO it doesn't come into effect until January and it is\n$800 million. What I am getting at is this -- and it may be what we\nare going to have to do -- we have to get the budget down to $200 billion,\n$500 million. Where would that get the three?\nK: They would get the three by cutting each of the services we are taking\nabout 100 out of R&D which is not good to do, but we can live with it.\nThen we are taking some out of Safeguard by stretching it a bit.\nP: Stretching it a bit does not bother me too much.\nK: But it is good to remain\n.\nP: And the main thing the authorization has got to be for the whole thing.\nK: We are taking $50 million from each of the services book by knocking\nout $10 million here and there.\nP: We don't think you can get more than $300? Why don't you talk to Laird\non the basis on the other 200 just basically the fact of trying to absorb\nthe pay increase to that extent. First see also the possibility that Congress\nmay come up with the damn thing and go over it anyway. But if Congress\ndoesn't that is fine. But, well anyway you are Xx at three now, you think\nyou can get three, but the five is very difficult.\nK: The five is almost impossible without cutting forces even more and they\nare really\nP: Nothing you could stretch - - nothing that well we are taking a look\nat the thing but just continue to work on it, Henry. I am chopping that\ndamn Space program by another 300. I don't think there is any problem\nthere. You can turn that around you see.\nK: But the trouble is you could easily find yourself in a situation two to\nthree years from now K where you just don't have the forces for an emergency.\nIf there is anything unexpected next year we are in trouble as it is.\nP: I talked to Ehrlichman. He says you have got to have forces. I have\nno desire at all to cut -- I don't think we should have cut what we have cut.\nFrankly, we are in this kind of business where if you don't cut defense\nsome you could not get to these other departments.\nReproduced at the Richard Nixon Presidential Library\nDECLASSIFIED\nNThis EXecutiveorden3526 and has been"
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